TOPIC

Education finance

Education Finance

In adopting the Local Control Funding Formula (LCFF), California moved from one of the least transparent school funding systems in the country to one of the most straightforward. In addition, increased revenue has helped California school district resource and expenditure levels not only recover from their post-recession lows, but also reach higher levels in 2016–17 than at any point since at least 2004–05.

However, per-pupil spending in California remains consistently below the national average, and district budgets are being impacted by rising costs associated with pensions, health care, Special Education, and facilities.

PACE research in this area is focused on building and advancing the evidence base on how to achieve equitable and adequate funding that leads to improved outcomes.

Recent Topic Publications
The policy brief examines the impact of QTEA on teacher recruitment, retention, and overall teacher quality in the San Francisco Unified School District. It provides evidence of the effectiveness of salary increases in attracting and hiring higher-…
Can It Support California’s College and Career-ready Goal?
California’s school finance system has been criticized for being irrational, inequitable, and inefficient. The proposed Local Control Funding Formula aims to simplify funding and give local leaders more control, but raises questions about balancing…
Strong Returns from a $19.5 Billion Investment
The LAUSD invested over $19B to build 130 new facilities to relieve overcrowded schools. A PACE policy brief analyzed its effects on student achievement and found robust gains for many elementary-school pupils who switched from old to new facilities…
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Revenues and Expenditures in the Second Year of Categorical Flexibility
CA's school finance is highly regulated, with state funding allocated through categorical programs. In 2008-09, 40 Tier 3 programs were given fiscal freedom, leading to concerns that districts with more Tier 3 funding were disproportionately…